In 2003 the Income Tax Act had 35,000 words, today it has almost 3 times more

In 2003 the Income Tax Act had 35,000 words, today it has almost 3 times more i.e. over 100,000! The ⚜Ancient legend⚜ tells of 3 wise men (kings) who came to worship Jesus and brought him 3 gifts. The modern legend says that the gifts were: the reintroduction of the “tax licence”, an increase in the National Insurance Contributions and an increase in the tax rate on dividend payments. Valuable gifts indeed… Laci Kamenicky has prepared more gifts for us, effective January 1, 2024. And no stone has been left unturned. I’ll highlight the most important changes for me. ➡ Minimum tax PO – according to the amount of income: up to 50.000,- EUR inclusive (340,- EUR) over 50.000,- EUR up to 250.000,- EUR (960,- EUR) over 250.000,- EUR up to 500.000,- EUR (1920,- EUR) over 500.000,- EUR (3840,- EUR) ➡ Micro-taxpayer – the limit of taxable income from 49.790,- Eur to 60.000,- Eur ➡ Income tax rate FO – 15% for taxpayer where taxable income does not exceed 60.000,- Eur (originally 49.790,- Eur) ➡ Income tax rate PO – 15% for taxpayer where taxable income does not exceed 60.000,- Eur (originally 49.790,- Eur) ➡ Dividend payment – increase in tax rate from 7% to 10% ➡ Charitable advertising – increase in exempt income amount from the original 20.000,- Eur to 30.000,- Eur ➡ Increase in the rate of contributions to public social security Employer from 10% to 11% CSO/FO – from 14% to 15% ➡ Change in the tax rate on alcohol in the restaurant services from 10% to 20% ➡ Institute of “second chance” – no fine for the first violation of the obligation Accounting is a profession that requires constant education and monitoring of legislation. After all, with every change of government comes new “tweaks” that have been in force (sometimes and sometimes not), only to be given another facelift 💅🛀 🤑 . For us accountants, this restarts the process of getting our bearings. We have to retrain ourselves, at the same time inform and educate clients, set up new calculation systems, answer questions not only in the field of accounting, but many times with overlap to legal advice and x other activities. At the same time follow trends in automation and digitalization 👨‍💻. ❗If there is such an accountant who can do all this on his own, I want to see him hired❗ We have a team of 4️⃣0️⃣ members taking care of the above activities (although you can only see 3 “kings” in the photo) and I still feel we have gaps. And it is precisely because of this complexity and diversity that accounting cannot be cheap 🤷‍♂️.